HALAL CERTIFICATION

AND
HALAL ASSURANCE
SYSTEM
LPPOM MUI
• Lembaga Pengkajian Pangan Obat-obatan dan Kosmetika - Majelis
Ulama Indonesia (LPPOM – MUI), is an institution formed by MUI
to run MUI function in protecting muslim consumers in consuming
products of foods, drugs, and cosmetics

• Establish on January 6th, 1989 in Jakarta

• Mission
 To establish and develop halal standard and inspection system
 To halal certify foods, drugs and cosmetics consumed by the people
 To educate people and be aware to only consume halal products
limitedly
 To provide complete and comprehensive information about
halalness of products from various aspects integratedly
Auditor of LPPOM MUI
Auditor is a person assigned by LPPOM – MUI through a selection
process including his/her competency, quality and integrity to
conduct halal audit. Auditor is a representative of ulama and a
witness to find facts on halal production of a company.

MUI Fatwa Committee

MUI Fatwa Committee is one of MUI committees whose task to
produce an Islamic legal opinion about law status on certain case.
Members of fatwa committee are representative of Islamic
organizations in Indonesia

Fatwa
Fatwa is Islamic legal opinion about law status of a certain case. In
halal certification process, fatwa output is the halal or haram status
of product(s) based on auditing process performed by LPPOM –
MUI.
Education
Fatwa Committee : • Auditors :
- Syariah - Chemistry
- Da’wah - Food Science
- Ulumul Qur’an - Biochemistry
- Ulumul Hadits - Agro industry
- Biology
- Physics
- Veterinary
Halal Certificate
Halal Certificate (HC) is a written fatwa issued by MUI to state
the halalness of a product based on auditing process performed
by LPPOM – MUI.

Internal Halal Auditor

Internal Halal Auditor is staff(s) officially appointed by Company
Management to coordinate implementation of HAS.

HAS Audit
HAS Audit is audit on Halal Assurance System implementation in
the halal certified company.
Procedure
Halal Certification
1st HAS Registration Product
Document Certification
Document

Product
Audit

No Audit
Audit
Memorandum
Evaluation

Yes

No
Fatwa

2nd HAS
Document Yes

Halal
Certificate
 MUI HALAL
CERTIFICATE
HALAL ASSURANCE
SYSTEM
Halal Assurance System is
a management system to maintain the halal status of
products that have obtained halal certificate

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• For a new company which has not obtained MUI Halal Certificate, HAS
documents needed are :
1. 1st HAS Document contains at least an official statement to submit
Manual of HAS within 6 months after halal certificate is issued.
2. 2nd HAS Document contains at least Halal Policy, halal management
organization, and scope of HAS implementation.

• For company which has already had halal certificate but its HAS
implementation has not been audited, then HAS documents needed are :
1. 1st HAS Document contains at least Halal Policy, halal management
organization, and scope of HAS implementation.
2. 2nd HAS Document contains standard Manual of HAS

• For company whose HAS has been audited and is going to renew its halal
certificate then HAS documents needed are :
1. 1st HAS Document contains HAS implementation report on recent
condition or revised HAS Manual or statement letter mentioning the
company has got at least B grade or copy of HAS certificate.
2. 2nd HAS Document is not needed.
 Reason of HAS
•Implementation
Period of Halal Certificate : 2 years
• Need a sytem which can assure halal during period of Halal
Certificate
• Based on Islamic Law :
- To consume Halal Products is obliged for Moslem
- All activities for guarding Halal Status of Products
become obliged, like :
a. Make agreement with company to maintain
Halal Production consistenly
b. Create HAS and It has to be applied by company
which have got Halal Certificate
 Reason of HAS Implementation
(continued)

• Maqhashid Shari’ah
• Trend of Increasing Market for Halal Product
Globally (Customer Satisfaction)
• Continual product development (rapid
development) in a short time
• Supply chain management in global market
• Join responsibility for halal production
• LP POM – MUI as external body
 Declining life cycle of
product
(continued)
Life style changes consumer behavior  decline life cycle of
product.
4 stages of product in the market (Fig 1)

Sales decline

Company responds

Production changes
Figure 1. Life cycle of product Maarif and Tanjung, 2003)
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 Declining life cycle of
product
(continued)
Change or modification:
 Product
 Layout
 Packaging
 Production technology

Manufacturer may change raw material, ingredients,

or formula  ‘Change’ is critical points in
maintaining halal status of product.

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Declining life cycle of product
(continued)
Producer must set up Standard Operation Procedure
(SOP) : a halal manual for detail technical procedures.
Any change must refer to SOP.

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Supply chain management
(SCM)
in global market
SCM maximize costumer satisfaction, reduce costs.

Fig 2. Supply-Production-Distribution System

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Supply chain management (SCM)
in global market
(continued)
3 critical points in maintaining halal status:
1. Supplier’s Obligation
2. Transformation from raw materials to end
product
3. Distribution system

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Supply chain management (SCM)
in global market
(continued)
3.1. Supplier’s Obligation
Many suppliers 
ALL must provide halal materials

Little suppliers 
Continuously supply halal materials

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Supply chain management (SCM)
in global market
(continued)
3.2. Transformation from raw materials to end product

All steps of transformations in Production

process, from raw materials to end product, must
be clearly documented in HAS so that they can be
evaluated properly

Figure 3.

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Supply chain management (SCM)
in global market
(continued)
3.2. Transformation from raw materials to end product

 In Supply Chain Management, to reduce cost of investment,

production or inventory, some producers may conduct toll
manufacturing by using several companies which produce
some components of product.
 Consequently, HAS will also include the company where toll
manufacturing is taken.

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Supply chain management (SCM)
in global market
(continued)
3.3. Distribution system
Some products are easily being contaminated with
non-halal product (e.g. meat),
 producer must pay great attention during
distribution to ensure that products are maintained
in halal status until they reach consumers.

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Supply chain management (SCM)
in global market
(continued)
3.3. Distribution system

Figure 4. click
 there are several bodies involved in this system which means
that halal status of product must be controlled in all bodies
involved.
 Thus HAS include services such as importer, distributor,
transportation and retailer.

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LP POM – MUI as an external
 Asbody
an external body, LP POM MUI cannot control
production process in a company all the time,
although there is a surveillance allows LP POM
MUI to visit the production site without
information prior to visit.
 Therefore a team of Internal Halal Auditors is
required in the implementation of HAS.

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LP POM – MUI as an external
body
(continued)
 Three components must be carried out in HAS:
1. Conducting internal audit regularly,
2. Conducting corrective action when any distortion
occurs or procedural errors ; and
3. Making a report to LP POM MUI every 6 months
whether there are changes in raw materials and
production process.

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Halal production is a join
responsibility (Total Quality
Management)
(continued)

 The implementation of HAS needs Total Quality

Management :
Internal Halal Auditor and the Top Management
are responsible to maintain the halal status of
product.

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Halal production is a join
responsibility (Total Quality
Management)
(continued) Continuous
Objective Improvement

Principles Customer Process Total

Focus Improvement Involvement

Leadership
Elements Education and Training Supportive structure
Communications Reward and recognition
Measurement

Fig 5. The Total Quality Management System

(Arnold dan Chapman, 2004) 34
Halal production is a join
responsibility (Total Quality
Management)
(continued)
Components in Total Quality Management (Figure 5)
1. Halal policy
2. Halal management structure
3. Communication
4. Training and socialization
5. Materials must be absolutely halal
6. Management review

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 Halal policy. Support from the top management
must be in the form of documented halal policy,
hence it can be implemented in halal production
process.
 Halal management structure. It is a management
structure that supports the implementation of HAS
in manufacturer.

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Communication. It is the way to encourage transfer of
knowledge and internal coordination.
Training and socialization. Main purposes of training
and socialization for employee are to improve an
understanding of Islamic law related to halal product.

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 Materials must be absolutely halal. Any substance or
process that can be identified as a critical point in
production process must be mentioned in Halal Guide as
a technical guidance.
HAS does not tolerate low risk, medium risk or high risk
in halal production process (zero tolerance)
 Management review. It is necessary to continuously
review and improve the system to assure halal production
process.

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Conclusion
Implementation of HAS is required to be able to :
1. encourage the manufacturer to be aware in
maintaining the halal status of the products;
2. renew halal certificate, and
3. provide costumer satisfaction.

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Procedure to be
Approved
by
LP POM MUI
Requirement
1. Halal Certifier Body should be a Public
Organization
2. Supported by Islamic Community
3. Have at least 2 scientist as Auditor
4. Have at least 3 Ulama (Islamic Scholars Ship)
5. Have Standard Operating Procedure for Auditing
and Administration
approved
1. Application by letter
2. Giving full information by answering the
questionnaires (attached)
3. Administrative evaluation
4. Verification by side visit, including following audit
procedure
5. Giving status
Thank You
Very Much
For The